Surveillance: China’s government records party loyalty via Blockchain

After China’s head of government Xi Jinping recently in a speech publicly called on his compatriots to use the “opportunity” created by the blockchain technology, the Communist Party (KP) announced its latest coup: A decentralized app (dApp) will enable party members to record their party loyalty via a blockchain.

According to a statement from the KP propaganda office on Saturday, October 26, the dApp allows members to store their loyalty to the party on a blockchain. This declaration of loyalty can then be shared and inspected by others, in particular by the Chinese government.

The technology behind the dApp was developed by Beijing-based Lingzhu Technology. Lingzhu Technology is a blockchain development company by its own account. The registration data shows that investments from state capital have flowed to the company, which are tied to the Chinese Tsinghua University.

China’s blockchain strategy is currently causing turmoil in the crypto market. The current rise in the price of the crypto currency occurred after Xi Jinping publicly stated that China will open up to technology in the future and push blockchain development. This is not the first time that China’s policy has had an impact on the share price. When the Chinese government banned trading platforms and Initial Coin Offerings (ICO) in 2017, the Bitcoin price slumped.


Trust is good, control is better

In China, the communist party has linked the future of the country with its own rule since it came to power 70 years ago. The dApp shows that China’s burgeoning interest in blockchain technology is also tied to party interests. The government now has another instrument at its disposal with which it can digitally record member data. With around 90 million members, the Chinese Communist Party is the largest party in the world.

China’s handling of human rights is repeatedly criticized. According to Reporters Without Borders, the Communist Party under party leader Xi Jinping has “further expanded its comprehensive control over news and information with the help of state-of-the-art technology. In the ranking of press freedom, China ranks 177th out of a total of 180 places in an international comparison.

The introduction of the dApp in the Land of Dawn comes in economically and politically turbulent times. The demonstrations in Hong Kong, the trade war with the USA and a weakening economy seem to have more to do with the system than state propaganda would have it believe.